Innovative Service Design for Sustainability in the Tourism and Hospitality Industry: A Case Study of Small and Medium Hotels in Thailand

Abstract

In the tourism and hospitality industry, innovative service design for sustainability plays a crucial role in balancing economic growth with environmental and social responsibility. This study investigates how policies, digital technology, and sustainability-driven service design impact small and medium-sized hotels in Thailand. Through quantitative research utilizing Structural Equation Modeling (SEM), the study examines the relationship between regulatory frameworks, digital readiness, and the adoption of sustainable service practices. The findings highlight the positive impact of policies, incentives, and compliance mechanisms on sustainability adoption. Furthermore, digital technologies—such as smart resource management systems, data-driven decision-making, and digital collaboration—significantly enhance sustainability efforts. The research confirms that well-implemented sustainable service design not only mitigates environmental impact but also enhances economic resilience and social well-being, fostering a more competitive tourism sector. The study underscores the need for continuous policy innovation, digital adaptation, and stakeholder collaboration to achieve long-term sustainability in Thailand’s tourism and hospitality industry.